FI showroom red and grey logo
MenuMENU
SearchSEARCH

Congress Repeals Obsolete Insurance Booklet Mandate

The bipartisan bill that would eliminate the requirement that new-car dealers keep an insurance booklet on hand or face a hefty fine is headed to President Obama for his signature. The bill was approved by the U.S. Senate on Dec. 21.

by Staff
December 27, 2012
2 min to read


WASHINGTON — Senators approved on Dec. 21 a bipartisan bill, H.R. 5859, that eliminates the requirement that new-car dealerships keep an insurance booklet on hand or face a hefty fine.

The legislation, endorsed by the National Automobile Dealers Association (NADA), passed the House in late July and now goes to President Obama for his signature. The White House originally proposed eliminating the booklet in 2011, saying it was of little use to consumers.

Ad Loading...

“None of my customers has ever asked for this booklet. If my customers want accurate insurance information for their vehicles, they should contact their insurance agent, who can provide insurance quote over the phone or via the Internet,” said NADA Chairman Bill Underriner, a multi-franchise dealer from Billings, Mont. “The federal government has spent hundreds of thousands of dollars since 1991 to print and mail this booklet to every new-car dealer in America, yet very few consumers ever ask for it,” Underriner added.

In a survey of 815 of its members, the NADA found that 96 percent of dealers reported that none of their customers had ever asked to see the booklet.

In a 2011 directive to Congress on a highway and vehicle safety bill, the Obama administration said the data in booklet is “rarely used and not useful.” The administration also stated, “A prospective buyer does not need a brochure from the federal government to obtain this information, since insurance agents are trained to provide advice on how model selection affects insurance premiums.”

Under a 1972 law, the National Highway Traffic Safety Administration prepares, prints and mails the booklet, “Relative Collision Insurance Cost Information,” to new-car dealerships annually. Dealers are required to provide it to their customers upon request or face a $1,000 per violation fine.

The bill does not eliminate the government’s ability to make the insurance data available online or by other means.

Ad Loading...

“NADA supports this bill because it eliminates unnecessary red tape on small business dealerships,” Underriner said. “New-car dealers applaud the leadership of Sens. Amy Klobuchar, D-Minn., and Roger Wicker, R-Miss., and House sponsors Reps. Gregg Harper, R-Miss., and Bill Owens, D-N.Y., to remove this obsolete government mandate.”

More F&I

Headshot mockup thumbnail.
F&I•October 1, 2026

Modern Technology Objection Handling

In this video, Trent White shares how to confidently handle technology-based objections by helping customers understand the value of protection, even with modern vehicle technology.

Read More →
man standing in front of podium
F&I•by Lauren Lawrence•October 1, 2026

Consistency at Scale: Driving F&I Performance

With 75 rooftops across the Sunshine State, Morgan Auto Group has proven to Floridians that it knows a thing or two about driving performance in a competitive market. But it didn’t start at the top.

Read More →
Insurance contract signature page with black inkpen on top
F&I•by Hannah Mitchell•September 22, 2026

Gitty Up on GAP

The foundational finance-and-insurance product hasn’t kept up with the latest conditions for auto dealers. Is the time ripe?

Read More →
Ad Loading...
Easycare White paper cover See how AI-powered coaching can turn F&I customer conversations into actionable insights that support compliance, performance and profitability
Sponsored•September 8, 2026

How AI-Powered Coaching Is Transforming F&I Performance

See how AI-powered coaching can turn F&I customer conversations into actionable insights that support compliance, performance and profitability

Read More →
Assurant, Sell Value Build Trust, F&I Series, Expert Trainer Trent White
F&I•September 2, 2026

Sell Value, Build Trust

In this video, Trent White explains why selling on value, not fear, builds lasting customer trust, reduces cancellations, and drives long-term success.

Read More →
2026 StoneEagle summary
F&I•by Hannah Mitchell•August 31, 2026

F&I Sales Give Dealers First-Half Lift

Product business shored up total profits to avoid an overall revenue tanking as product penetrations held steady, StoneEagle reported.

Read More →
Ad Loading...
man with white hair and glasses delivering a speech standing next to a podium
F&I•by Lauren Lawrence•August 31, 2026

Targeted Training Drives Results

Today’s technology, instead of threatening F&I managers, can actually make them better, according to an industry veteran who’s watched market setbacks roil the unprepared.

Read More →
Man's hand holding pen over a paper document
F&I•by Justin B. Gasman•August 20, 2026

Double the Change, Double the Chance

When an F&I manager gets a customer refusal, it’s a wise move to tweak more than one thing in the product offering.

Read More →
Laptop computer, tablet, calculator and notebook on a desk
F&I•by John Tabar•August 20, 2026

Just Do It

F&I managers need training, but instead of resisting application or expecting perfection, they should improve by simply acting on what they learn.

Read More →
Ad Loading...
stacks of coins, a calculator, paperwork, and a pair of glasses in the background, text Lender Experience Drives Dealer Decisions, F&I and Showroom
Auto Finance•by Lauren Lawrence•August 12, 2026

Dealer Lender Preferences Revealed

When lenders provide consistent, fast service, their overall satisfaction scores with dealers greatly improve, according to JD Power research.

Read More →